The Diablo III Website announces a new Paragon system for Diablo III which will add new endgame content to Diablo III when the version 1.04 patch goes live for the action/RPG sequel, which is currently expected by the end of this month. This will add 100 paragon levels to player development with new stat and magic find rewards. There's also this forum post outlining how the auction house will be changed in the new version. Here's the outline of how the new Paragon system will work:

After you hit level 60, any further experience you earn from killing monsters will begin to count toward Paragon levels

There are 100 Paragon levels

Every Paragon level will reward you with:

Core stats such as Strength, Dexterity, Intelligence, and Vitality in amounts similar to what you’d gain from a normal level

3% Magic Find and 3% Gold Find

In addition, a distinctive increasingly-impressive border will surround your character portrait in the in-game party frame to denote your Paragon progression, with a new frame earned after every ten levels. Your Paragon level will also be visible to other players wherever your normal level is shown

normal monsters will be tougher, the junk rate will drop 4x fold, the agony of identifying one item at a time will break many ...

... to the RMAH at once! step right up folks, for your glittering new Legendary items (cough exclusively injected wheeze cough by cough Blizzard hhhack)

Blizzard: mission accomplished, clearly, much time was delayed to release Diablo 3 with a major flowchart in the design process on how to do crowd and mind control for the masses that will still play this game to no end... oh the story! but what about this pitiful story that's still in the game, unchanged!

sigh.

Blues, please look into the development of Generals2, I am itching to know more about that game, how is it coming along, please send the dev team a hug magnum of donuts on me, I want to know all the speal!